Lufthansa and Boeing Sign Agreement for Installation of Mobile Broadband Connectivity

Lufthansa and Boeing today announced
the signing of a definitive service agreement that solidifies the European
air carrier`s position as the launch customer for the Connexion by Boeing
mobile information service and a leader in bringing broadband connectivity
to passengers in flight.

The agreement calls for the Connexion by Boeing

service to be installed on
Lufthansa`s fleet of approximately 80 long-haul aircraft, including Boeing
747-400 and Airbus A330 and A340 aircraft, beginning in early 2004.
While financial terms of the service agreement were not disclosed,
executives from both companies believe the advent of high-speed connectivity
will be a significant benefit for airline passengers and for airline
operators worldwide.

“Through this agreement, Lufthansa has clearly taken a position of
leadership within the aviation industry in recognizing the added value that
broadband connectivity can bring to its passengers and to its airline
operations,” commented Scott Carson, Connexion by Boeing President. “We salute
them for their pioneering spirit and the vision we share for enhancing the
travel experience for their passengers and for creating new value
opportunities for their airline operations.”

“Lufthansa has always been a forerunner of technological innovations in the
aerospace industry, whereby the customers and their requirements are always
the focus of our attention,” said Wolfgang Mayrhuber who will take over as
Chairman of the Executive Board on June 18. “Our dedication to innovation,
customer orientation and high quality will continue to be the key for our
success. For this reason, we invest even during economically difficult times
in the most modern technology.”


In preparation for the commercial service introduction, Connexion by Boeing
and Lufthansa are working on a host of payment options that will allow
passengers to enjoy full access to the Internet including the use of Miles
and More bonus miles or payment of a nominal service access fee.

In addition to the agreement with Lufhansa

, Connexion by Boeing also signed
an agreement with Lufthansa Technik AG to support the installation of the
mobile information service on the Lufthansa fleet.  Based on the terms of
the agreement, Lufthansa Technik will support Connexion by Boeing in the
design, planning and installation of the service and also produce a
corresponding installation kit and supporting service bulletins that will be
provided to the Boeing team.

“There currently is no comparable high-speed service available today that
meets the collective needs of airline passengers, business travelers and the
airline operators, although travelers have been gradually warmed to the
benefits of connectivity by narrowband services offered in the market,”
added Carson.  “We hope to change that beginning in 2004 with the help of
Lufthansa and our other airline customers.”

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